Charting the Many Routes Startups Take on the Exciting Path to Achieving Liquidity

Published: 09 May 2025
Both obscure and well-trodden paths can lead startups to the pivotal promise of liquidity. This journey, however, offers no one-size-fits-all roadmap.

How does a startup achieve the much sought after state of liquidity? Just as with the many types of businesses in the startup landscape, there is no such thing as a universal roadmap that can guide them to this all-important milestone. Some startups take the well-worn path, going through rounds of investment funding until they reach a successful initial public offering (IPO) or a profitable buyout.

Yet, there are also those who traverse the road less taken. These obscure paths can be unconventional, and sometimes, even risky. They may involve strategies such as bootstrapping - where a startup operates with minimal external funding and grows organically, or an early stage exit - where the startup is acquired even before reaching its growth peak.

Different paths hold different lessons, with each journey to liquidity offering unique insights and experiences. The beauty of the startup world is, there are many ways to achieve the same goal. Entrepreneurs can therefore select the route most appropriate for their business model and the market environment, enhancing their prospects for success and easing their passage to liquidity.